140,000 Minnesotans discover they can’t “keep your plan”

Ed MorrisseyPosted at 10:01 am on October 31, 2013

Few states are as reliably Democratic in presidential elections than my state of Minnesota. We haven’t voted for a Republican since Richard Nixon in 1972, whose claim not to be a crook was a pre-eminent example of a presidential whopper until just recently. Minnesota is the only state not to have voted for Ronald Reagan at least once. The Land of 10,000 Frozen Lakes voted enthusiastically for Barack Obama in both elections, buoyed at least in part by his promise to reform the health-care system without creating any headaches for its consumers.

At least 140,000 Minnesotans who buy health insurance on their own are being notified that their plans will no longer be available under the new federal health care law, adding to the national furor over canceled policies that has overtaken the health care debate.

Unlike many states, Minnesota guarantees renewability of health insurance plans, meaning that technically, no policies are being canceled. Some who are being offered different plans, however, say that’s a distinction without a difference.

Industry officials say higher premiums and added benefits are likely in store for most of those who now buy high deductible/limited coverage plans on the individual market. Medica Vice President Dannette Coleman said that while some customers could see lower rates, “there could be some tough conversations. These are big impacts to a lot of people.” …

“Clearly, what Obama said about ‘if you like your plan you can keep it’ was false,” said retired Bloomington police officer Dan Murphy, who recently got a letter from his insurance company offering him a modified plan that meets the standards of the Affordable Care Act, including maternity coverage, which he does not need. The new plan would jack up his monthly premium by $210, or about $2,500 a year. “That’s a big ouch,” Murphy said.

The man featured in the story could still qualify for subsidies, as the story notes. But as I’ve repeatedly pointed out, that doesn’t mean that the actual costs are going down after ObamaCare; the premium increases show costs are skyrocketing, with subsidies just another way to screen the obvious truth from the consumer. We all end up paying for these subsidies through higher taxes, either directly or indirectly. It’s a shell game fronted by a bait-and-switch.